Kriengkrai Techakanont

Evolution of inter‐firm technology transfer and technological capability formation of local parts firms in the Thai Automobile Industry

Summary This paper investigates the evolution of ‘inter‐firm’ technology transfer in the Thai automobile industry, which has gradually been integrated into global production network of some specific automotive models (one‐ton pickups). This paper discusses the linkage between the role of automobile assemblers in transferring technology and the way their strategic changes bring about heightened demands on the technological capacity of suppliers and the contents of technology transfer. With higher competition at the global level, local suppliers are required to improve their technical and managerial skills, especially in the area of ‘product engineering’ capability. The authors examine the ways local firms have adapted to these changes in their environments, as well as the ways they utilize inter‐firm relationship with automobile assemblers as a means to improve their own technological capabilities. The dynamic process of capability formation in local parts firms, through intensive efforts and learning inducements brought about by inter‐firm relationships, are also discussed.

Evolution of Automotive Clusters and Interactive Learning in Thailand

This paper analyses the evolution of clusters and ‘interactive learning’ in upgrading manufacturing capabilities. We analyse the upgrading process in line with key concepts constituting ‘interactive learning’, which include clusters and agglomeration (regional) innovation systems, open innovation and localised learning. On the basis of analysis at firm and industry-wide levels, this paper contributes to current literature concerning clusters and innovation that relate to technological upgrading in locally based firms by (1) examining the role of governments in promoting clusters and regional development; (2) identifying the conditions important for firm agglomeration and how agglomeration leads to knowledge-sharing at horizontal, vertical and institutional levels; (3) discussing the role of foreign firms in transferring technology and encouraging their suppliers to share knowledge within the production network; and (4) reporting on the characteristics and determinants of R&D cooperation within the Thai manufacturing sector. The main findings reveal that developing countries, including Thailand at this moment, may have limitations in their science and technology base. This can hinder their upward progression on the global value chain. It is of particular importance for government policy to be more supportive, rather than regulative, in order to strengthen the scientific knowledge base and promote cooperation between indigenous firms and innovation in supporting organisations.

Industrial Policy, Multinational Strategy and Domestic Capability: A Comparative Analysis of the Development of South Africa’s and Thailand’s Automotive Industries

For developing countries seeking to promote the automotive industry, it has been essential to attract foreign investment, and the terms under which this takes place are key determinants of the resulting development impact. This article examines the development of the sector in South Africa (SA) and Thailand. Both industries have been driven by growing domestic demand, government support and rapid international integration, but the Thai industry has grown at a significantly faster pace. The article demonstrates that the Thai automotive industry has major firm-level cost and market advantages. The combination of a favourable location, supportive trade and industrial policy and supply-side strengths has led to large-scale investment and Thailand’s development as a major regional hub. Foreign investment in SA on the other hand has been at a lower level, aimed primarily at accessing the domestic market. The consequence has been more limited development of the automotive cluster.AbstractPour les pays en développement cherchant à promouvoir l’industrie automobile, il a été essentiel d’attirer les investissements étrangers et les conditions dans lesquelles ces investissements se déroulent sont des facteurs déterminants pour l’impact sur le développement qui en résulte. Cet article examine le développement de ce secteur en Afrique du Sud et la Thaïlande. Ces deux industries ont été stimulées par une demande intérieure croissante, le soutien du gouvernement et par l’intégration internationale rapide, mais l’industrie thaïlandaise a grandi à un rythme nettement plus rapide. L’article démontre que l’industrie automobile thaïlandaise possède d’importants avantages au niveau des coûts d’entreprise et du marché. La combinaison d’un emplacement avantageux, de politiques commerciales et industrielles favorables et de forces au niveau de l’approvisionnement ont conduit à des investissements à grande échelle et au développement de la Thaïlande en tant que pôle régional majeur. D’un autre côté, les investissements étrangers en Afrique du Sud ont été moindre, visant principalement l’accès au marché intérieur. La conséquence a été un développement plus limité du cluster automobile.

Intra-industry trade, product fragmentation and technological capability development in Thai automotive industry

Thailands automotive industry has evolved from a small import-substituting industry to a vibrant exporting one. It has contributed significantly and increasingly to the economy and intra-industry trade in Southeast Asia. The country also has experienced ‘qualitative’ change from simple production to technologically sophisticated activities. The evidence amassed illustrates that firm strategy and collaboration with other actors in the national innovation system were the most important drivers of technological upgrading in the industry. Local automotive part suppliers in particular had to become ‘active’ learners by collaborating with other partners beyond their own multinational buyers to compete in export markets.

Testing Kirkpatrick' s Four-Level Hierarchy of Training Evaluation: Evidence from Thailand' s Automotive Industry

Several studies of training evaluation have failed to confirm the hierarchy relationship of reaction, learning, and behavior to results because of the difficulty of evaluating training. Furthermore, research in this area has tended to downplay the importance of level one (reaction) evaluation. In this study, we proposed investigating Kirkpatrick’s four-level hierarchy of training evaluation, focusing specifically on two types of reactions, affective and utility, to predict training outcomes. The results of this study expand our understanding of the progressive causal relationship of reaction, learning, and job behavior to results. In particular, this study highlighted the utility reactions in predicting training effectiveness. Implications and future research directions suggested by the results are also discussed.